3 Ways to Ensure Accurate Depreciation Values in ECC

  • by Nathan Genez, Consultant, Serio Consulting
  • November 15, 2007
The primary focus of the Asset Accounting (FI-AA) sub-ledger is to accurately calculate and track values for fixed asset records. Often it is possible that planned values stored in FI-AA do not reflect the existing system configuration and therefore are incorrect. You can use program RAAFAR00 (recalculate values) to ensure that calculated amounts are correct.
Key Concept

An asset’s planned depreciation value is only determined at two times. The first is during any transactional posting such as an acquisition or retirement. The second time is whenever you change a depreciation-relevant parameter on the asset master record using the asset maintenance transaction AS02. What is not well-known is that the system does not compute the values for planned depreciation whenever you make changes in configuration that affect the depreciation calculation.

A great deal of functionality in the Asset Accounting (FI-AA) module is delivered in SAP ERP Central Component (ECC) to support the automatic calculation of depreciation values. Most users spend a significant amount of time both during and after their ECC implementations to design an appropriate solution and to validate the values in the system. I’ll show you three ways to use a key program that can ensure that those values remain correct and that the system calculates them using the configuration you defined.

Executing this program yields a few important benefits. It makes the reporting for FI-AA more accurate because the system computes the depreciation amounts on which it reports by using the configuration you defined in the system. The year-end closing process should also be easier. Most importantly, the system calculates and posts depreciation amounts to the G/L based on the configuration you defined. This ensures that all depreciation figures tie between the G/L and FI-AA. Before I discuss the program and its features, I’ll outline an example scenario.

Nathan Genez

Nathan Genez is an SAP FI/CO- and SAP BW-certified consultant who has worked with SAP ERP since 1996, with an emphasis on the capital accounting modules: PS, IM, and FI-AA. A former platinum consultant with SAP America, Inc., he has worked with SAP BW since release 1.2B. He is currently a managing partner at Serio Consulting in Houston, Texas.

See more by this author


Comments

9/17/2014 12:51:49 PM
Ramesh Choragudi

AFAR - Recalculating Depreciation Values works fine before Activating EA-FIN but after it is not working in production Mode. I have tested in Test Mode it works well but in real/production mode in back ground it is not working and showing error " Company code 0200 - Selection not allowed in production run - program termination"

I am curious why this is not working ? Any one can answer this ?

Please log in to post a comment.

To learn more about subscription access to premium content, click here.